Earnings Report Preview | MRVL shows "significant progress" in custom AI chip development.
Morgan Stanley stated in a report on Tuesday that Marvell Technology (MRVL) may make "sufficient progress" in custom AI chips to address cyclical issues. The company is set to announce its fourth-quarter financial results after the U.S. stock market today (March 7). Morgan Stanley expects earnings per share to be $0.45, with revenue down 0.1% YoY to $1.42 billion. The market consensus is for earnings per share of $0.46 and revenue of $1.42 billion. Morgan Stanley noted, "As expected, strong demand for AI in its optical business supported most of Marvell's growth last quarter." However, they anticipate continued weakness in other markets, largely offsetting this strength. Morgan Stanley raised the target price for Marvell stock from $63 to $84 and maintained an equal-weight rating. They added, "We expect slight consecutive declines in April, but believe custom silicon will have enough positive news to sustain the stock's performance."
Morgan Stanley stated in a report on Tuesday that Marvell Technology (MRVL) may make "sufficient progress" in custom AI chips to address cyclical issues.
The company is scheduled to announce its fourth-quarter financial performance after the U.S. stock market today (March 7).
Morgan Stanley expects earnings per share to be $0.45, with revenue expected to decline by 0.1% from the same period last year to $1.42 billion. The brokerage firm noted that the market consensus is for earnings per share of $0.46 and revenue of $1.42 billion.
Morgan Stanley said, "As expected, strong demand for artificial intelligence in its optical business supported much of Marvell's growth last quarter." "However, we expect weakness in its other markets to persist and largely offset this strength."
Morgan Stanley raised its target price for Marvell stock from $63 to $84 and maintained an equal-weight rating.
Morgan Stanley stated, "We expect a slight consecutive decline in April, but believe that custom silicon will have enough positive news to sustain the stock's performance."